(1) If the tax administrator determines that a tax return required by section 3.782 of this Code is incorrect, the tax administrator may compute and determine the amount required to be paid, upon the basis of the facts contained in the return or returns or upon the basis of any information within the tax administrator’s possession. One or more deficiency determinations may be made of the amount due for one or more periods, and the amount so determined shall be due and payable immediately upon service of notice as herein provided, after which the amount determined shall be delinquent. Penalties on deficiencies shall be applied as set forth in section 3.784 of this Code.
(a) In making a deficiency determination the tax administrator may offset overpayments, if any, which may have been previously made against any underpayment for a subsequent period or periods, or against penalties, and interest, on the underpayment. The interest on underpayment shall be computed in the manner set forth in section 3.784.
(b) The tax administrator shall give to the operator or occupant a written notice of the tax administrator’s determination. The notice may be served personally or by mail; if by mail, the notice shall be addressed to the operator at the operator’s address as it appears in the records of the tax administrator. In case of service by mail of any notice required by this section, the service shall be complete at the time of deposit in the United States Post Office.
(c) Except in the case of fraud or intent to evade sections 3.772 to 3.804 of this Code or rules and regulations pursuant to it, every deficiency determination shall be made and notice thereof mailed within three years after the last day of the month following the close of the monthly period for which the deficiency is proposed to be determined or within three years after the return is filed, whichever period expires the later.
(d) Any deficiency determination shall become due and payable immediately upon receipt of notice by the operator and shall become final within ten days after the tax administrator gives notice thereof, but the operator may petition for redemption and refund if the petition is filed before the determination becomes final.
(2) If any operator fails or refuses to collect the tax or to make, within the time required by section 3.782 of this Code, any report and remittance of the tax or any portion thereof required by section 3.722 of this Code, or makes a fraudulent return or otherwise willfully attempts to evade section 3.772 of this Code, the tax administrator shall proceed in such manner as the tax administrator deems best to obtain facts and information on which to base an estimate of the tax due. As soon as the tax administrator determines the tax due from any operator who has failed or refused to collect the same and to report and remit said tax, the tax administrator shall proceed to determine and assess against the operator the tax, interest, and penalties provided for by sections 3.772 and 3.784 of this Code. In case such a determination is made, the tax administrator shall give a notice, in the manner prescribed by section 3.786(1) of the amount so assessed. The determination and notice shall be made and mailed within three years after discovery by the tax administrator of any fraud, intent to evade, or failure or refusal to collect the tax, or failure to file a required return. Any deficiency determination shall become due and payable immediately upon receipt of the notice and shall become final within 10 days after the tax administrator gives notice thereof. The operator may, however, petition for redemption and refund if the petition is filed before the determination becomes final as provided in subsection (1) of this section.
(3) If the tax administrator believes that the collection of any tax or any amount of tax required to be collected and paid to the city by section 3.772 of this Code is jeopardized by delay, or if any deficiency determination made under this section is jeopardized by delay, the tax administrator shall thereupon make a determination of the tax or amount of tax required to be collected, noting the fact upon the determination. The amount so determined as provided in this section shall be immediately due and payable, and the operator shall immediately pay the determined amount to the tax administrator after service of notice thereof. The operator may petition, however, after payment is made, for redemption and refund of the determination, if the petition is filed within 10 days from the date of service of notice by the tax administrator.